Tornado Cash defense says prosecutors misled court on legal issues involving crypto mixers
Online reports that defense lawyers for Tornado Cash co-founder Roman Storm have accused U.S. federal prosecutors of misleading the court about the application of the law on unmanaged crypto mixers, claiming that prosecutors failed to disclose key communications with the Financial Crimes Enforcement Network (FinCEN) that could weaken the government's core allegations that Tornado Cash operates as an unlicensed money transfer business. Roman Storm's defense cited details disclosed in the case involving Samourai Wallet developers, emphasizing that FinCEN had stated that Samourai Wallet may not meet the definition of a financial services business because it did not manage user funds. Given that Tornado Cash is also a non-escrow agreement, the defense believes that this position applies equally. Currently, Roman Storm's legal team is asking the court to ask the government to disclose all communications with FinCEN and provide materials related to the Samourai Wallet case, which is expected to begin on July 14.
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